Eni awarded Timor Sea block near producing Kitan oil field

Eni SPA has been awarded a production sharing contract on 662 sq km adjacent to Kitan oil field in the Timor Sea in the Joint Petroleum Development area administered by Australia and Timor-Leste.

The PSC in the Flamingo trough area contains the commitment to drill two exploratory wells in the first 2 years and separate options for the drilling of two contingent wells.

Eni has identified a number of oil prospects in the JPDA and indicated that facilities at nearby producing Kitan field could be used in case of a discovery. Water depth in the contract area averages 350 m (see map, OGJ, Apr. 27, 2009, p. 39).

Eni-operated Kitan field went on production in October 2011 about 3-1/2 years after the commerciality declaration. Production peaked at 45,000 b/d of oil in 2012. Eni is operator of the JPDA 11-106 PSC with 40.53% equity in joint venture with Inpex Offshore Timor-Leste Ltd. 35.47% and Timor GAP PSC 11-106 Unipessoal Ltda. (TimorGap) 24%.